ADVICE
Protect yourself against these common rental scams
Today ’ s rental market is a competitive place , so when you find the perfect spot it can be tempting to just sign on the dotted line and hope for the best . Sadly , there are more and more scammers who are taking advantage of this opportunity to dupe unsuspecting applicants out of their hard-earned cash .
David Jacobs , Gauteng Regional Manager for the Rawson Property Group , shares some of the more common rental scams and explains how best to protect yourself against them .
The Branded Faker
The scam : You arrive at a rental property and are handed an application on a pristine letterhead from a well-known and reputable agency . The place looks perfect , but you ’ re told that there ’ s a lot of interest so you need to be quick . Convinced , you sign the lease and transfer your deposit without hesitation . When moving day arrives , however , your “ agent ” has mysteriously disappeared leaving you with nowhere to stay and little hope of recovering your deposit .
The solution : “ Using a letting agent from a branded agency is a good choice from a safety perspective ,” says Jacobs , “ but you need to confirm that they really are who they say they are before you take them at face value . Scammers are forging documents on branded letterheads to take advantage of prospective tenants , so documentation is no longer reliable proof of a legitimate mandate .”
To avoid getting caught out , Jacobs urges applicants to double check their agent ’ s credentials before signing anything . This is best done by visiting the brand ’ s central website to find the branch or franchise ’ s details and give them a call to confirm the agent ’ s accreditation .
“ Don ’ t call the number provided by the agent in question , as this could be fake ,” says Jacobs . “ Always go directly to the central brand and get the necessary contact details from there .”
The Development Dodge
The scam : You arrive at a new development to view one of the newly completed units , but your agent has accidentally misplaced the keys . That ’ s okay – you can view the place through the windows , or even visit a similar , but not-yet-finished unit to decide whether you want to apply for the lease .
You like what you can see , so you transfer your deposit and start packing your stuff for move-in day . When that day comes , you arrive at the apartment only to discover that it was never available , and your “ agent ” has absconded with your deposit and your first month ’ s rent .
The solution : “ This particular scam is almost exclusive to new developments ,” says Jacobs , “ so it ’ s a good idea to be extra cautious in this kind of situation . Try not to rent a property that you haven ’ t seen in person , and always double check your agent ’ s credentials before transferring any money . This is easier to do if they ’ re part of a big brand , but can also be done via the EAAB .”
The ( un ) Happy Holiday
The scam : You browse online media and find a beautiful holiday property for short-term rental . You get in touch with the listing agent and pay your deposit . When you arrive at your destination , kids in tow and sunscreen in hand , you discover eight or nine other families have also booked the same property , and the letting agent is nowhere to be found .
The solution : “ Holiday rental scams can be harder to spot ,” says Jacobs , “ because it ’ s usually impossible to view the property in person , or meet the landlord or agent face to face . Because of this , it ’ s doubly important to do your homework before you hand over any cash . Do some Googling , find some reviews if possible , and always confirm all details for the property , agent and / or landlord .”
The Disappearing Deposit
The scam : You find a great rental property and sign a private lease directly with the landlord . You pay your deposit and move in – everything is hunky-dory . Unbeknownst to you , your landlord has taken your deposit and spent it . When you decide to move out , they don ’ t have the money to refund you .
The solution : “ This situation is most easily avoided by using a letting agent registered with the EAAB ,” says Jacobs . “ Doing so not only ensures your agent is aware of their legal obligations , but also provides recompense if they fail to fulfil their responsibilities .”
If you absolutely have to go the private lease route , Jacobs recommends asking your landlord for ongoing proof that your deposit remains in an interest-bearing account throughout the lease period .
“ You are completely within your rights to ask for regular bank statements to this effect ,” he says . “ If your landlord refuses to provide them , chances are something dodgy is going on .”
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